Latin America, Intermediary
Change
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Why the Fund
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Why a flexible approach to credit
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Why Wellington
Why the Fund
Differentiated credit selection
The Fund focusses on identifying securities with stable to improving credit fundamentals and a higher likelihood of capital appreciation relative to the downside risk, rather than being driven purely by the search for yield.
Dynamic risk allocation
By owning Treasuries and cash when credit valuations appear stretched, the fund can nimbly allocate to credit when opportunities arise.
Core fixed income characteristics
The Fund is cash bond-focused and typically exhibits an investment grade rating and yield profile with 3-6 years of duration, which we believe can offer more stable returns.
The characteristics presented are sought during the portfolio management process. Actual experience may not reflect all of these characteristics or may be outside of stated ranges.
Why a flexible approach to credit
Avoid uncompensated risk
Flexibility to allocate to treasuries and cash when credit markets are not offering adequate value can reduce unrewarded portfolio risk.
Take advantage of price dislocations
By moving against the biases of large fixed income investors—providing liquidity when they are forced sellers and selling into robust demand when valuations are stretched.
Complements income approaches
Counter-cyclical approach of holding Treasuries and cash when spreads are tight and credit when spreads widen. Complements more traditional cyclical income funds focused on maximising yield.
Why Wellington
A unique fixed income edge
Managing fixed income since 1928, and with over US$500bn in fixed income assets, we combine the range and resources of a large firm with the agility and specialisation of a small one.
Independent, empowered and accountable teams
Each specialist team makes its own decisions for client portfolios. We believe this independence can help generate more consistent performance across market environments by diversifying return sources.
A breadth of expertise
Our fixed income strategies benefit from being part of an integrated investment platform that spans all major asset classes and draws on Wellington’s multidisciplinary research capabilities.
All figures are for the Wellington Management Group of companies as of 31 December 2025.
Fund Video
In this short video, find out more about the investment approach and key features of the Fund.
Investment Examples
Learn more about the macroeconomic factors at play during particular time periods and the investment team's decisions around issuer quality allocation and duration.
ARTICLE
Time for credit selection to shine
Fixed income investors continue to seek answers to an era of volatile rates. Large, static exposures to credit markets no longer cut it. Instead, a nimble and dynamic approach is more likely to create resilient and consistent total return outcomes.
Funds returns are shown net of fees. Fund returns shown are net of actual (but not necessarily maximum) withholding and capital gains tax but are not otherwise adjusted for the effects of taxation and assume reinvestment of dividends and capital gains. If an investor’s own currency is different from the currency in which the fund is denominated, the investment return may increase or decrease as a result of currency fluctuations.
Source: Wellington Management.
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